Setting up a tax exemption record

Caution: 
Infor discourages the use of the SA Exemption Setup functionality with Sovos GTD, or AvaTax, or Vertex Cloud. Before you use them together, engage Infor Consulting Services to help plan your implementation.

If your Tax Interface is System Rates, you can exempt a customer or a customer's ship to from these taxes:

  • Sales or use tax for all transactions within a particular state
  • Taxes on a specific product
  • Taxes on a specific product line

You can exempt a specific product or product line for one or all customers. To tie to a product or product line, you must set up a matching tax exempt type in both SA Exemption Setup record and the Product Warehouse Product Setup-Taxing record or the Product Line Setup-Tax record.

Note:  If you create a product record based on the product line record's defaults and then override the tax exempt status on the new product record, the status for the product line record no longer applies. The tax exempt status for the product line is not used in the tax logic hierarchy.

Use these instructions to set up tax exemption types for customer and warehouse product records

  1. Select System Administrator > Setup > Exemption .
  2. Click New.
  3. Specify the customer number for this exemption. If this record is for a product or product line and applies to all customers in a specific state, leave the Customer field blank.
  4. If you specified a customer, and the taxability of the ship to location varies, specify a ShipTo location.
  5. If the record is for a particular state or province, specify the two character abbreviation. Leave the Taxing State field blank if the record applies to all states.
  6. Specify the Tax Exempt Type to link a specific product or product line to this record.
  7. Specify the Certificate #, Expiration Date, and a Comment.
  8. If the record is for a Canadian company, specify a tax exempt type and comment.
  9. Click Save.